Saturday, January 15, 2011

Why Crazy Talk Can Be Useful

I was contemplating Mike Huckabee's comments that Congress needs to stop the spending before it raises the debt ceiling. The theory is that if Republicans threaten to not raise the debt ceiling, it might force the Democrats to cut some programs. The problem with this theory is that most Democrats don't think that the Republicans are radical enough to vote against raising the debt ceiling. If I was President Obama, and Mike Huckabee was a congressman, I would call Mike's bluff. Because I don't think that he would put himself in the position of voting against the debt ceiling. Mike Huckabee is not crazy.

But what about Jim DeMint? Or Rand Paul? Would they gladly watch the American government default on its loans just so they could go back to their constituents and pretend like they did something about the debt? I think so. That's what makes them the crazy wing of the right. Historian and economist Bruce Bartlett calls it "monumental insanity." But it is just this insanity that might force spending cuts. I don't know that DeMint is bluffing.

It is the same concept with TARP. Most economist would argue that TARP was necessary to prevent a massive depression. The problem with TARP though (as everyone recognizes), is that it could encourage further bailouts in the future. However, because of the demagoguery of the crazy right, another bailout is more than likely out of the question. Bank lenders know fully well that the American people will not suffer another bailout. So, ironically, the people who lambaste TARP, while wrong on the policy details, do serve a useful purpose.

Crazy talk often helps in foreign policy. Iran, for example, has chosen this time in history to defy the international community because it knows that the international community is not in a position to do anything about Iran. It is the same with North Korea. I am not encouraging President Obama to start hurling threats at these countries, but my point is that Iran knows that the United States cannot do much to stop it at this point.

I certainly don't want to encourage crazy talk. But sometimes it can have its advantages.

Well, I can kindly remind you about FL, PA and KY among others, but such a pissing contest would not be the point.

One man's sanity is another's craziness, but I've been called worse. Unfortunately, it will take a lot more than 'crazy talk' if you like that term, to get the Dems and even many Republicans to wake up on the debt issue.

BTW, I do agree with your premise on 'crazy talk' to a degree. After all, it was crazy talk by the Left on Iraq that now makes it impossible for us to attack Syria and Iran. I am not saying we should attack them, but our hands are tied. Thank you Left Wing Crazy Talkers.